Malaysia Marine & Heavy Engineering (MMHE) will pay an agreed sum to Dutch heavy-lift company Boskalis to settle a dispute between the pair.

The duo locked horns earlier this year regarding the floatover installation of the topsides for the Bokor central processing platform offshore Malaysia.

MMHE was the fabricator of the large platform deck, while Boskalis was assigned with the offshore transportation and installation of the same deck.

The dispute arose because Boskalis claimed there was a delay in the load-out of the topsides onto Boskalis' vessel and, as a result, Boskalis had incurred demurrage and standby costs between 21 April 2020 and 20 July 2020.

An arbitration proceeding was under way in which Boskalis was seeking US$11,954,475 from MMHE plus interest and costs.

On 17 November 2021, MMHE said it had agreed with Boskalis "to discontinue the arbitration proceedings in consideration of MMHE paying an agreed sum as full and final settlement of claims identified by BMSB (Boskalis) in the said Notice of Arbitration".

MMHE did not disclose the settlement sum, but said its board of directors was of the view that the settlement was "in the best interests of MMHE and the group and will not have any material impact on the financial position and operations of MMHE".

The topsides for the Bokor central processing platform sailed away from MMHE's yard in the quarter ending 30 September 2020.